Vince Cable's Banking Reforms must be Implemented

12.00.00am BST (GMT +0100) Mon 20th Jul 2009

Sarah Carr, Liberal Democrat Parliamentary Candidate for Hereford and South Herefordshire has added her support to the speech of Vince Cable MP, Liberal Democrat Shadow Chancellor, given at the London Stock Exchange on reform of banking regulation on Monday 20th July.

Commenting on the speech in which Dr Cable outlined five sensible ways in which the current regulation of banking could be improved, Sarah Carr said,

"Vince Cable MP has been proved right time and again on the economy. Whilst the Labour government has failed to grapple with the challenges of banking regulation, the Conservatives under Shadow Chancellor George Osborne have put forward foolish proposals simply moving the deckchairs by changing the names of the banking regulators."

The Liberal Democrats proposals outlined by Vince Cable include -

1. Highly paid bankers to publish details of their remuneration and confirm they are resident and domiciled in the UK,

2. The FSA to remain as a unitary regulator,

3. RBS and Lloyds to be broken up before they are returned to private ownership,

4. A long-term role for state banking, rather than the quick sale of state-owned banks

5. Scrapping of the 'woefully misconceived' Asset Protection Scheme

Sarah Carr continued,

"It is incredibly important that Vince Cable's Liberal Democrat proposals are implemented to reform the banking industry. I think that some people in the financial community have failed to understand why the public is so angry about bankers. Without the taxpayer, many bankers would be without a job let alone the huge bonuses that they are enjoying.

"The other two political parties must not deflect attention by looking at side issues from the work that needs to be done to implement sensible regulation. Only the Liberal Democrats have the plans to ensure that the big banks are split up - essentially that the British taxpayer is totally disengaged from the risks involved in global investment banking."